Allbridge Core was forced to suspend its protocol following a hack that allowed a hacker to steal over $1 million through its stablecoin liquidity pools. This incident highlights the increasing vulnerabilities affecting the cryptocurrency sector as losses from attacks have intensified in recent months.
The course of the hack
According to analyses conducted by Onchain Lens, Allbridge Core experienced an attack on the Solana blockchain, resulting in estimated losses of over $1.1 million. The hacker used a flash loan in USDC amounting to $1.12 million, granted by the Kamino platform. By executing a series of quick swaps, the hacker manipulated the USDC/USDT stablecoin pool, distorting the pool ratios before withdrawing liquidity at artificially inflated values.
The strategy used by the hacker
Within the same transaction, the hacker was able to repay the flash loan, allowing him to extract around $1.1 million. The stolen funds were subsequently routed through privacy protocols to conceal their traceability. Notably, a particularly high single withdrawal was recorded, amounting to $2.24 million in USDC, demonstrating the scale of the attack.
The repercussions for Allbridge
Following this incident, Allbridge decided to suspend its protocol as a precautionary measure. The company has initiated an investigation to understand the details of the attack and has warned that the imbalance in the pool had opened an arbitrage window for some traders. Allbridge is now seeking to recover the stolen funds and has called on traders who benefited from the incident to return the losses in order to compensate the affected liquidity providers.
Call for the return of funds
In a public message, Allbridge expressed its intention to “return all affected funds.” They therefore provided a specific address for the return, emphasizing the importance of cooperation from traders who profited from this breach. They stated: “If you profited from this, please consider returning the funds to the address below – this will directly serve to compensate the affected LPs.” The provided address was 0x01a494079DCB715f622340301463cE50cd69A4D0.
A context of increasing cyberattacks
This hack echoes a series of recent attacks targeting cryptocurrency protocols. In July 2026, losses due to hacks reached $57.8 million. It should also be noted that Allbridge had already been targeted by another flash loan attack in April 2023, where a hacker exploited a pool on the BNB network, causing losses of approximately $570,000.
Perspectives on the security of protocols
Incidents such as the one involving Allbridge underscore the importance of security in the cryptocurrency ecosystem. Measures need to be taken to strengthen the protection of users and invested funds. The need for better regulation and more robust security protocols has become urgent, as shown by analyses from cybersecurity and blockchain experts, who foresee an increase in vigilance against potential threats. For more information on security issues in blockchain, you can consult articles on the subject, such as the report on cyber warfare in North Korea or the recent cyberattacks by the North Korean regime.
